Honda Philippines is set to merge with its parts manufacturing arm in a move aimed at streamlining operations and strengthening its grip on the local market.

The company announced on 16 July that it plans to merge with Honda Parts Manufacturing Corporation (HPMC), combining both organizations into a single, more efficient entity. Honda says this consolidation will help boost its ability to meet the fast-growing demand for motorcycles and power products in the country.

“This initiative is a strategic step towards maximizing our production capabilities and enabling Honda to contribute more significantly to Philippine society,” said Honda Philippines Inc. (HPI) president Takeshi Kobayashi. “The Philippine motorcycle market is growing rapidly, and we believe this merger will allow us to better respond to demand and strengthen our presence as a mobility solutions provider.”

HPI and HPMC will secure approval from the Securities and Exchange Commission (SEC) on the Plan of Merger. Once approved, the merged entity will combine the robust manufacturing capabilities of both companies, creating a more integrated and flexible organization. This will reinforce Honda’s capacity to serve the increasing demand for both motorcycles and power products in the country and marks the beginning of a stronger, more unified Honda, geared to deliver greater value to all our stakeholders.

Once the plan is approved by the SEC, the new organization will tap into the manufacturing strengths of both HPI and HPMC. The goal is to create a more agile and integrated structure that can better support Honda’s long-term vision for the market.

The company stressed that the merger is about delivering better value for customers and other stakeholders.

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